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New Gartner report identifies HPE and Dell EMC leaders in the server revenue and shipment market

Worldwide server revenue recorded a huge rise in the third quarter of 2017, reaching 16 percent year-over-year (YoY), while the server shipment grew to 5.1 percent, according to a new Gartner report

Building of infrastructure to support cloud and hybrid cloud implementation was considered as the major driving force behind the growth of server market, per the report.

“x86 servers increased 5.3 percent in shipments for the year and 16.7 percent in revenue in the third quarter of 2017. RISC/Itanium Unix servers declined globally, down 23.5 percent in shipments and 18.3 percent in vendor revenue compared with the same quarter last year. The ‘other’ CPU category, which is primarily mainframes, showed a decline/increase of 54.5 percent,” – said Jeffrey Hewitt, research vice president at Gartner.

Amongst the companies offering server solutions, Hewlett Packard Enterprise (HPE) was recognized as the market leader in terms of revenue. The company earned $3.1 billion in revenue and thus claimed 21 percent market share for Q3, even though the company experienced a negative growth of 3.2 percent.

Source: Gartner

Dell EMC occupied the second position with 37.9 percent growth and 20.8 percent market share, followed by IBM with 7.7 percent growth.

One of the noteworthy mentions is of Inspur Electronics which recorded the highest growth in server revenue (16.6 percent). A possible reason is the rising demand of cloud in the Chinese market along with company’s global expansion plans.

Apart from the top five individual players, others also contributed to a large extent with $5.3 billion.

Source: Gartner

In server shipments, Dell EMC was the leader in the third quarter of 2017 with 17.8 percent market share, followed by HPE with 16.4 percent market share. Here also, Inspur Electronics was the only vendor with a positive growth of 69.5 percent.

Other vendors like Lenovo and Huawei also recorded decent numbers in terms of server shipments with 151,575 and 145,441 shipped units, respectively.

Companies other than the top five, also made impactful contribution to the overall market with 1,362,727 shipped units and contributed 48 percent to the market share collectively.

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